This morning, Sedo published its Market Study that includes domain name sales from the first half of 2014 that were completed via the company. Published below is the infographic that has quite a bit of good information from the study. Because of the size of Sedo, I believe this Market Study is a good indicator of the overall domain name marketplace.
Some of the highlights from the report include this information:
- $35.9 million in sales volume ($70.5 reported all of 2013)
- 55% of sales were .com
- Highest new gTLD sale was more than $100k (NDA)
- Mean sale price $2,214 vs. $1,893 in 2013 year end report
Check out the infographic for more information shared by the company:
There are a couple things I am surprised with.
1. I can’t believe Sedo only sells 76 domains a day worldwide.
2. that 84% of these sales are for $2500 or less.
3. the steep drop off of sales from $2500-5000 equals only 9%
So many people price their domains right out of the market and never make a sale. These numbers are proof that if you want to make money with decent domains then price them properly. For those new to domaining price hand regs, decent drops etc…….at $2500 or less and chances are in your favor you will make some sales.
The quarterly trend appears to show a decline in the number of sales unless that is a seasonal factor (though I would imagine Q3 is a soft quarter).
I wish they broke out sales between $500-$999 and then $1000-$1499 and then $1500-$2500
We have sales in the $750 to $1000 price range but sales over $1000 are not common.
These numbers are almost irrelevant IMO when you consider the large number of brokers and Escrow services. And the overwhelming majority of sales go unreported, the only way to track those is if Escrow services release their transaction figures, combine them all and then you’ll have something solid to look at.. Until then, Sedo needs to get off it’s high horse.
“The quarterly trend appears to show a decline in the number of sales unless that is a seasonal factor (though I would imagine Q3 is a soft quarter).”
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They lost Godaddy during the half year. I think there will be another big drop next time they report because it will be a full half year of no go daddy. I think Godaddy was about 1/3 of their business. The rise in average price is probably also due to losing Godaddy (and lots of lower priced sales).
You can see from their weekly reports that sales have dropped a lot. I suspect now they are probably almost entirely reliant on domains parked with them for sales. i.e. someone visits the domain and sees the park page and for sale link.